Punjab & Haryana HC: Exploitative undertakings by public employers void—Past service must count for pension and benefits

Case Name: Ranjit Singh v. State of Punjab and Others
Date of Judgment: September 25, 2025
Citation: CWP-28761-2025 (O&M)

Bench: Hon’ble Mr. Justice Harpreet Singh Brar

Held: The High Court held that undertakings extracted from reinstated employees to forgo arrears, continuity of service, or pensionary benefits are void ab initio as no employee can be compelled to contract out of statutory rights. The petitioner, who had been illegally terminated and later reinstated, was entitled to continuity of service and consequential benefits. The Court stressed that such exploitative practices by public employers are arbitrary, violative of Articles 14 and 21 of the Constitution, and inconsistent with the principles of natural justice and fair play.

Summary: The petitioner joined as Tubewell Operator in 1992, was regularised in 1994, but terminated the same year without notice. In 2011, the Industrial Tribunal ordered reinstatement with continuity and back wages. However, the Municipal Council only reinstated him after forcing him to sign an affidavit waiving arrears and treated it as a fresh appointment. His request to count past service for pension was rejected by order dated 03.03.2025. The Court found that the affidavit was taken under duress, contrary to law, and violative of the Tribunal’s award. Relying on constitutional principles and precedents like Kesar Chand v. State of Punjab and LIC v. Consumer Education & Research Centre, the Court observed that public employers have a higher duty to act fairly and cannot deny lawful benefits through arbitrary tactics.

Decision: Petition allowed. Impugned order dated 03.03.2025 was quashed. The petitioner was held entitled to counting of past service (1992 onwards) for all benefits including pension. Respondents directed to pass necessary orders within 3 months.